A staggering 90% of businesses experience a lawsuit at some point in their existence. In some cases, a Las Vegas, NV, business’s liability coverage is sufficient to handle claims related to marketing, defective products, bodily injury, or property damage. However, if an employee makes a mistake that harms one or more of your customers, you will need errors and omissions insurance (E&O coverage) to claim compensation for the damages.
E&O Insurance: Understanding Coverage and Coverage Limits
Errors and omissions insurance protects against honest mistakes that may result in your clients incurring time and financial losses. It provides compensation for claims related to inadequate work or negligence and covers not only legal fees but also settlement costs. Generally, it is designed for situations where your business fails to meet industry standards for customer care and service. This type of insurance is especially important for companies in service industries, but even businesses that sell physical goods can benefit from E&O coverage.
It is important to note that errors and omissions insurance does not cover illegal or criminal acts. If one of your employees breaks the law, an E&O policy will not provide compensation, even if you were unaware of the employee’s actions. Additionally, it does not cover mistakes that result in pollution or those caused by financial problems your business is facing. Furthermore, errors and omissions insurance does not cover discriminatory words or actions.
Need Commercial Insurance? Give Amerisent Insurance a Call
Amerisent Insurance serves businesses in and around Las Vegas, NV, offering access to commercial insurance policies from over sixty leading insurance providers. Contact us today to learn more about errors and omissions coverage or to explore our other coverage options. Our team is ready to answer your questions and provide expert advice to help you select the best policy or policy bundle for your needs.
